Some employers that were entitled to jobkeeper payments prior to, but not on or after, 28 September 2020 (‘legacy employers’) and their employees can access modified flexibilities under Part 6-4C. Legacy employers that satisfy the ‘10% decline in turnover test’ and hold a ‘10% decline in turnover certificate’ can:
- give jobkeeper enabling directions to employees they were previously entitled to jobkeeper payments for, and
- make agreements with employees they were previously entitled to jobkeeper payments for, to vary the employees’ days or times of work,
subject to greater restrictions than qualifying employers.
What is the ‘10% decline in turnover test’ and what is a ‘10% decline in turnover certificate’?
10% decline in turnover test
An employer satisfies the ‘10% decline in turnover test’ for a designated quarter if the employer’s actual GST turnover for the previous quarter is at least 10% less than their actual GST turnover for the corresponding quarter in the previous year.
A quarter is the period of 3 months ending on 31 March, 30 June, 30 September or 31 December.
The ‘designated quarter’ for a direction or request made:
- before 28 October 2020—is the quarter ending on 30 June 2020,
- between 28 October 2020 and 27 February 2021 (inclusive)—is the quarter ending 30 September 2020, and
- on or after 28 February 2021—is the quarter ending 31 December 2020.
10% decline in turnover certificates
A ‘10% decline in turnover certificate’ must be issued by an ‘eligible financial service provider’ that is satisfied that the employer meets the 10% decline in turnover test for the designated quarter. An ‘eligible financial service provider’ is a registered tax agent or BAS agent, or a qualified accountant.
However, a 10% decline in turnover certificate cannot be issued by:
- a director or employee of the employer
- an associated entity of the employer, or
- a director or employee of an associated entity of the employer.
Small business employers (that have less than 15 employees) do not require a certificate from an eligible financial service provider. Instead, if the employer or an individual who is authorised by the employer and has knowledge of the employer’s financial affairs makes a statutory declaration that says the employer satisfied the 10% decline in turnover test, this is taken to be a 10% decline in turnover certificate. A person must not knowingly make a false statement in such a statutory declaration. This is a civil remedy provision.
 Fair Work Act s.789GCB
 Fair Work Act s.789GC
 Fair Work Act s.789GC
 Fair Work Act s.789GCD(2)
 Fair Work Act s.789GCD(4)
 Fair Work Act s.789GXC